Layoffs, generative AI, and overtime: New study paints bleak picture of 2026 gaming industry

A November 2026 survey by the Game Developers Conference (GDC) describes persistent strain in the games industry, with layoffs and generative AI among workers’ main concerns. Its findings point to job insecurity, mixed views on AI and long working hours, offering a snapshot of pressures facing game developers.

The survey drew on industry workers worldwide, mostly in the US, and included a separate group of 900 laid-off workers. Among those laid off from AAA studios, 68 per cent had lost their jobs in the past year; 27 per cent had submitted at least 100 applications, and 54 per cent remained unemployed. Overall, 40 per cent said they used generative AI at work, while 55 per cent said it was harming the industry; 53 per cent worked more than 40 hours a week.